Forex Money Management Formula Or Equity Formula | Forex Strategies

Forex Money Management. Money management could be a method Forex traders management their cash flow: virtually IN or OUT of own pockets. Yes, it's merely the information and skills on managing own Forex account.

Forex Money Management Formula

For example if you have 200 $ deposit Amount

200 usd * 10 = 2000 / 100000 = 0.02 Lot Size

Now....

Lot Size = 0.02 

Market Moving 3000 Pips

0.02 Lot Size * 3000 Pips = 60 $ Profit / Loss 

Remaining Balance : 200 $ - 60 = 140 $ Remaining 

The right lot size of your account is only 0.02 

For example if you have 300 $ deposit Amount

300 usd * 10 = 3000 / 100000 = 0.03 Lot Size

Now....

Lot Size = 0.03 

Market Moving 3000 Pips

0.03 Lot Size * 3000 Pips = 90 $ Profit / Loss 

Remaining Balance : 300 $ - 90 = 210 $ Remaining 

The right lot size of your account is only 0.03 

For example if you have 500 $ deposit Amount

500 usd * 10 = 5000 / 100000 = 0.05 Lot Size

Now....

Lot Size = 0.05 

Market Moving 3000 Pips

0.05 Lot Size * 3000 Pips = 150 $ Profit / Loss 

Remaining Balance : 500 $ - 150 = 350 $ Remaining 

The right lot size of your account is only 0.05 

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